Madoff Outrage: Whistleblower Testimony Rips SEC

Markopolos said he began his investigation into Madoff in late 1999 when a marketing executive from Rampart Investment Management Company Inc. told him of Bernard Madoff’s fantastic returns. Markopolos said he determined in less than four hours that Madoff’s operation was a fraud.

Madoff "was a 'no-brainer' investment but only in the sense that you had to have no brains whatsoever to invest into such an unbelievable performance record that bears no resemblance to any other investment managers' track record throughout recorded human history,” said Markopolos’ testimony.

In May of 2000, Markopolos said he contacted the SEC’s Boston office with his findings. The next year, Madoff spoke with Ed Manion in that office.